If you want to set up a UK limited company, the process itself is quick, but a handful of decisions early on determine how smoothly the company runs afterwards. This guide walks through each step in order, using the fees and rules that apply from 1 February 2026.
Step 1: Choose a company name
Your company name must be unique on the Companies House register and cannot be too similar to an existing name. It also cannot include certain sensitive words without permission, and it must end in "Limited" or "Ltd" (or the Welsh equivalents). It is worth checking that a matching domain name and social handles are available before you commit, since renaming a trading company later is more disruptive than it sounds.
Step 2: Appoint directors and identify PSCs
Every UK limited company needs at least one director, and there is no requirement for that director to live in the UK. You will also need to identify anyone who is a Person with Significant Control (PSC) - broadly, anyone who owns more than 25% of shares or voting rights, or who otherwise controls the company.
Since the Economic Crime and Corporate Transparency Act 2023 (ECCTA), identity verification is mandatory for directors and PSCs. From 18 November 2025, new directors must verify their identity before incorporation, and existing directors and PSCs have a 12-month transition window to complete verification. This applies whether you are based in the UK or overseas.
Step 3: Pick a SIC code
A SIC (Standard Industrial Classification) code describes what your company does. You can choose up to four codes, and Companies House publishes the full list. Picking a code that genuinely reflects your activity matters more than people expect - an inaccurate SIC code can cause confusion with HMRC, banks and credit reference agencies later, so it is worth getting right the first time rather than treating it as a formality.
Step 4: Set your registered office address
Every UK company must have a registered office - a physical UK address where official documents can be delivered and acknowledged. Since March 2024, an "appropriate address" rule applies, which rules out PO Boxes used on their own. Many overseas directors use a professional registered office instead of a home address, both for privacy and to make sure post is actually picked up and dealt with. Keystone Secretarial's Registered Office London service provides an address at 167-169 Great Portland Street, London W1W 5PF, with official post received and forwarded, for £50 a month.
Step 5: Pay the incorporation fee and file
Once your name, directors, PSCs, SIC code, registered office and share structure are settled, you file the incorporation documents with Companies House. The official fees from 1 February 2026 are:
- £100 for standard digital incorporation
- £124 for paper incorporation
- £156 for same-day digital incorporation
Digital incorporation is normally processed within 24 to 48 hours, which makes it the practical choice for most new companies.
What you get back
Once your application is approved, Companies House issues a certificate of incorporation confirming your company number and formation date, along with your filed IN01 form details, which record your directors, PSCs, share capital and registered office. Keep these documents safe - banks and other institutions will ask to see them.
What to do right after incorporation
Setting up a UK limited company does not end at the certificate. In the days after incorporation you should:
- Register for Corporation Tax with HMRC, normally within three months of starting to trade
- Open a UK business bank account, which can take longer for overseas directors due to identity checks
- Set up your statutory registers and confirm who is responsible for keeping them
- Note your confirmation statement date, which falls 12 months after incorporation and must be filed within 14 days of the review period ending
For overseas founders, this is where a lot of the friction actually lives, and it is a large part of why Keystone's UK Company Formation service is priced as a single £600 fee that includes Companies House fees, UK VAT, identity verification fees and a structure review, rather than a bare-bones filing.
Common questions
Do I need to live in the UK to set up a UK limited company?
No. There is no residency requirement for directors or shareholders of a UK limited company, though you will need a UK registered office address.
How long does it take to set up a UK limited company?
Digital incorporation is normally processed within 24 to 48 hours once all the required information and identity verification is complete.
What is the current incorporation fee?
From 1 February 2026, standard digital incorporation costs £100, paper incorporation costs £124, and same-day digital incorporation costs £156.
Can I use a home address as my registered office?
You can, but many directors prefer a professional registered office to keep their home address off the public register and to make sure official post is handled properly.
What happens after my company is incorporated?
You need to register for Corporation Tax with HMRC, arrange a business bank account, and keep track of your confirmation statement deadline, which falls annually.
Get help setting up your UK limited company
Keystone Secretarial Services handles UK company formation from start to finish, including Companies House fees, VAT, identity verification and a review of how your company should be structured, all for a fixed £600. Every enquiry is handled by a named UK qualified lawyer who replies within one UK working day, with no ticket queues and no hidden extras. Start your enquiry today.
This article is general information about UK filing requirements, not legal or tax advice. Requirements change - we will confirm what applies to your company before anything is filed.
